R4-M4 Legal Duties And Responsibilities

Question 1

4 elements for negligence agst CPA

Answer 1

1. Owed a duty of care to plaintiff
2. Defendant breached duty to act with due care
3. Breach caused injuries
4. And damages

Question 2

5 elements of common law fraud

Answer 2

1. Misrepresentation of material fact
2. Intent to deceive
3. Reliance by plaintiff on misrepresentation
4. Scienter or intent to induce plaintiff
5. Damages

Question 3

Ultramares rule

Answer 3

Limits accountants liability to
1. Parties in privity
2. Intended 3rd party beneficiaries (NOT foreseen parties)